Kathmandu, November 25

Representatives of the country’s private sector have urged the government to amend the Industrial Enterprise Act-2016 to make it more contextual.

Speaking at a programme titled ‘Industrial conditions, challenges and opportunities in Nepal’ organised by the

Department of Industry in the Capital today, President of Federation of Nepalese Chambers of Commerce and Industry Bhawani Rana, said that the private sector strongly urges the government to amend the act so as to create a conducive investment environment. “There is a huge challenge of rising trade deficit being witnessed in the country, so the government needs to addresses the private sector’s concerns,” she stated.

She added that for the country to draw in investment not only from domestic investors but also foreign investors, government needs to amend existing Industrial Enterprise Act and make it more investment-friendly.

Meanwhile, Hari Bhakta Sharma, president of the Confederation of Nepalese Industries, stated that the government had failed to introduce business-friendly laws and acts for a better investment climate. “The government needs to introduce policies that encourage investment in the industrial sector if the country wants to minimise the trade deficit.”

On the occasion, Minister for Industry, Commerce and Supplies Matrika Prasad Yadav, assured the private sector that the government would do the needful for industrial development. “I would like the private sector representatives to approach the government if they are facing any problems and I will do my best to facilitate all the concerns within my jurisdiction,” he said.

However, Minister Yadav suggested the private sector to change their mindset and be involved more in the industrial sector instead of just focusing on trade. “I would urge the private sector to be involved in manufacturing rather than just

importing and selling goods,” he said, adding that this would not only help bring down the trade deficit but also generate employment opportunities in the country.

Speaking at the programme, Industry Secretary Yam Kumari Khatiwada, said that the ministry has already started the

process to amend the Foreign Investment and Technology Transfer Act to make it contextual and increase foreign direct

investment in Nepali industries. “We have set a deadline to amend the act within March and I would request the private

sector for their feedback,” she said. “We will try to incorporate all relevant inputs.”